Finally, below is a summary of the final four schedules that may need to be attached to the new Form 990.
New Schedule K was added for organizations with an outstanding tax-exempt bond issue greater than $100,000. The schedule covers information previously required on the balance sheet. In addition, the use and investment of proceeds and relationships with outside advisors will be reported.
New Schedule L will by required by organizations that lend money to or borrow from officers, directors, and certain disqualified persons. This will replace the attachments currently required on the Balance Sheet of Form 990.
New Schedule M will be used to report non-cash contributions over $5,000. The type of contribution and information regarding the donee’s valuation methods for financial reporting will be required.
New Schedule N, Termination or Significant Disposition of Assets, will replace the Part VI, Other Information question and attachment on the current Form 990. Part I is for expanded reporting on a current termination of an organization. Part II is for reporting dispositions of more than 25% of the organization’s net assets if at fair market value.
Remember, these schedules are still in draft form and the IRS is taking comments from the public until mid September. Draft schedules can be viewed at the IRS website .
